The New Boss: Younger Than the Old Boss

Nearly 100 public-company CEOs in the U.S. are 40 or younger. Here they share war stories and tips on how to get to their position

by Marc Hogan

• View Slide Show

Michael Rubin started his business career at age 13, running a ski-tuning shop out of his parents' basement. He went on to open several retail ski shops in New York and Pennsylvania by the time he graduated from high school. Now 34, Rubin is chief executive of GSI Commerce (GSIC), a King of Prussia (Pa.)-based e-commerce company with $524.6 million in revenue in the 12 months ended Sept. 30.

Meet the new boss, younger than the old boss. Rubin is one of approximately 140 executives age 40 or younger who are chief executive officers of publicly traded companies around the world, according to data compiled by Capital IQ. Of these, nearly 100 are located within the U.S., while another 40 or so lead companies headquartered in other countries. The youngest, Harry Vafias, CEO of StealthGas (GASS) in Athens, Greece, is only 28.

For generations, the corner office has been the domain of experience, occupied in literature and film by crusty old-timers like Ebenezer Scrooge or It's a Wonderful Life's Mr. Potter. In more recent decades, investors grew accustomed to fresher faces, as such young visionaries as Microsoft's (MSFT) Bill Gates and Apple's (AAPL) Steve Jobs helped lead the 1980s personal-computing revolution. Now, a new generation of 40-and-under CEOs offers proof that today's young entrepreneurs can scale the corporate ladder, too.

Tech Ladder

The tech sector may still be the quickest road to the top. More public-company CEOs age 40 and under lead organizations involved in technology products or services than work in any other industry. These companies range from online travel publisher Travelzoo (TZOO) to semiconductor materials provider Cree (CREE) and software maker Borland (BORL).

A tech background can also help executives in related businesses, such as retail. Michael Soenen, 36-year-old chief of flower seller FTD (FTD), recalls becoming CEO of his company's Web division in 1999. "Internet CEOs were young by nature, and the success we were having made me a logical choice," Soenen explains. "Having run that business successfully, becoming CEO of FTD Inc. was a natural extension for me."

Many of the youngest CEOs achieved their position by launching their own companies from scratch. "If you really want to be a CEO at a young age, start a company and call yourself a CEO," says David Liu, who recently turned 41 but has been CEO of wedding information Web site The Knot (KNOT) since age 30.

Experience Can't Hurt

Sometimes the hardest part may just be getting started. "You can't wait until you know all the answers," says 36-year-old Taser International (TASR) CEO Rick Smith, who started his stun-gun operation in a garage at age 23. "You never will. When your gut tells you there's an opportunity there, you have to take it."